NasdaqGM:SFST

Stock Analysis Report

Southern First Bancshares

Executive Summary

Southern First Bancshares, Inc. operates as the bank holding company for Southern First Bank that provides various banking products and services to general public in South Carolina, North Carolina, and Georgia.


Snowflake Analysis

Flawless balance sheet and good value.


Similar Companies

Share Price & News

How has Southern First Bancshares's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: SFST's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-7.1%

SFST

-9.6%

US Banks

-2.8%

US Market


1 Year Return

-31.2%

SFST

-34.8%

US Banks

-15.9%

US Market

Return vs Industry: SFST exceeded the US Banks industry which returned -33.7% over the past year.

Return vs Market: SFST underperformed the US Market which returned -14.9% over the past year.


Shareholder returns

SFSTIndustryMarket
7 Day-7.1%-9.6%-2.8%
30 Day-29.8%-28.8%-18.8%
90 Day-41.6%-44.1%-24.0%
1 Year-31.2%-31.2%-32.8%-34.8%-14.2%-15.9%
3 Year-23.0%-23.0%-23.9%-29.5%9.9%2.8%
5 Year43.1%43.1%0.7%-11.0%27.2%13.3%

Price Volatility Vs. Market

How volatile is Southern First Bancshares's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Southern First Bancshares undervalued compared to its fair value and its price relative to the market?

39.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SFST ($25.3) is trading below our estimate of fair value ($40.04)

Significantly Below Fair Value: SFST is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: SFST is good value based on its PE Ratio (6.8x) compared to the Banks industry average (8.6x).

PE vs Market: SFST is good value based on its PE Ratio (6.8x) compared to the US market (12.5x).


Price to Earnings Growth Ratio

PEG Ratio: SFST is poor value based on its PEG Ratio (1.5x)


Price to Book Ratio

PB vs Industry: SFST is overvalued based on its PB Ratio (0.9x) compared to the US Banks industry average (0.8x).


Next Steps

Future Growth

How is Southern First Bancshares forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

4.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SFST's forecast earnings growth (4.6% per year) is above the savings rate (1.7%).

Earnings vs Market: SFST's earnings (4.6% per year) are forecast to grow slower than the US market (12.2% per year).

High Growth Earnings: SFST's earnings are forecast to grow, but not significantly.

Revenue vs Market: SFST's revenue (7% per year) is forecast to grow slower than the US market (7.1% per year).

High Growth Revenue: SFST's revenue (7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SFST's Return on Equity is forecast to be low in 3 years time (11.4%).


Next Steps

Past Performance

How has Southern First Bancshares performed over the past 5 years?

26.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SFST has high quality earnings.

Growing Profit Margin: SFST's current net profit margins (34.2%) are higher than last year (32.6%).


Past Earnings Growth Analysis

Earnings Trend: SFST's earnings have grown significantly by 26.5% per year over the past 5 years.

Accelerating Growth: SFST's earnings growth over the past year (25%) is below its 5-year average (26.5% per year).

Earnings vs Industry: SFST earnings growth over the past year (25%) exceeded the Banks industry 10.9%.


Return on Equity

High ROE: SFST's Return on Equity (13.5%) is considered low.


Next Steps

Financial Health

How is Southern First Bancshares's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: SFST has a low level of unsold assets or inventory.

Debt Coverage by Assets: SFST's debt is covered by short term assets (assets are 1.1x debt).


Financial Institutions Analysis

Asset Level: SFST's level of assets compared to its equity is moderate.

Allowance for Bad Loans: SFST has a sufficient allowance for bad loans.

Low Risk Liabilities: SFST's liabilities are made up of primarily low risk sources of funding.

Loan Level: SFST has an acceptable proportion of non-loan assets held.

Low Risk Deposits: SFST's loans are broadly funded by customer deposits.

Level of Bad Loans: SFST has an appropriate level of bad loans (0.35%)


Next Steps

Dividend

What is Southern First Bancshares's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate SFST's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate SFST's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if SFST's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if SFST's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of SFST's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

9.1yrs

Average management tenure


CEO

Art Seaver (55yo)

21.25s

Tenure

US$1,044,399

Compensation

Mr. R. Arthur Seaver, also known as Art, Jr., has been the Chief Executive Officer of Southern First Bancshares, Inc. (Alternate Name: Greenville First Bancshares, Inc.) and its subsidiary bank, Southern  ...


CEO Compensation Analysis

Compensation vs Market: Art's total compensation ($USD1.04M) is below average for companies of similar size in the US market ($USD1.49M).

Compensation vs Earnings: Art's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
R. Seaver
CEO & Director21.25yrsUS$1.04m1.0% $1.9m
Michael Dowling
Executive VP9.08yrsUS$699.44k0.59% $1.1m
F. Strickland
Consultant0.25yrUS$868.78kno data
Lenwood Howell
Executive VP & Executive VP of Southern First Bank7.5yrsno datano data
Julie Fairchild
Corporate Secretaryno datano datano data
Frederick Gilmer
Executive Vice President of Southern First Bank and Senior Lending Officer of Southern First Bank21.25yrsUS$21.60kno data

9.1yrs

Average Tenure

54.5yo

Average Age

Experienced Management: SFST's management team is seasoned and experienced (9.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
R. Seaver
CEO & Director21.25yrsUS$1.04m1.0% $1.9m
Leighton Cubbage
Independent Director21.25yrsUS$21.10k1.0% $1.9m
James Orders
Chairman of the Board21.25yrsUS$34.70k0.60% $1.1m
Tecumseh Hooper
Independent Director21.25yrsUS$26.60k0.54% $1.0m
Rudolph Johnstone
Independent Director21.25yrsUS$22.80k0.43% $810.5k
Andrew Cajka
Independent Director21.25yrsUS$29.10k0.15% $293.4k
Mark Cothran
Independent Director21.25yrsUS$21.85k1.29% $2.4m
David Ellison
Independent Director19.25yrsUS$25.85k0.56% $1.1m
Anne Ellefson
Independent Director19.25yrsUS$28.50k0.16% $309.2k
Frederick Gilmer
Independent Director21.25yrsUS$21.85k0.60% $1.1m

21.3yrs

Average Tenure

65yo

Average Age

Experienced Board: SFST's board of directors are seasoned and experienced ( 21.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: SFST insiders have sold more shares than they have bought in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Southern First Bancshares, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Southern First Bancshares, Inc.
  • Ticker: SFST
  • Exchange: NasdaqGM
  • Founded: 1999
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$190.236m
  • Shares outstanding: 7.72m
  • Website: https://www.southernfirst.com

Number of Employees


Location

  • Southern First Bancshares, Inc.
  • 100 Verdae Boulevard
  • Suite 100
  • Greenville
  • South Carolina
  • 29607
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SFSTNasdaqGM (Nasdaq Global Market)YesCommon StockUSUSDOct 1999

Biography

Southern First Bancshares, Inc. operates as the bank holding company for Southern First Bank that provides various banking products and services to general public in South Carolina, North Carolina, and Georgia. It accepts various deposit products that include checking accounts, commercial checking accounts, savings accounts, and other time deposits, including daily money market accounts and long-term certificates of deposit. The company’s loan portfolio comprises commercial real estate loans; construction real estate loans; commercial business loans for various lines of businesses, such as the manufacturing, service industry, and professional service areas; consumer real estate and home equity loans; and other consumer loans, including secured and unsecured installment loans and revolving lines of credit. In addition, it provides other bank services, such as Internet banking, cash management, safe deposit boxes, direct deposit, automatic drafts, bill payment, and mobile banking services. The company operates through 10 retail offices located in Greenville, Columbia, and Charleston; 2 retail offices located in Raleigh and Greensboro markets; and 1 retail office located in Atlanta. Southern First Bancshares, Inc. was founded in 1999 and is headquartered in Greenville, South Carolina. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/05 05:08
End of Day Share Price2020/04/03 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.